Short sales up 268 percent from a year ago; Serious mortgage delinquencies up 147 percent for same period

Dennis Norman

By: Dennis Norman

Yesterday the Federal Housing Finance Agency (FHFA) released its foreclosure prevention report for July, 2009 for Freddie Mac and Fannie Mae loans. After reviewing the data in the report I would say if you are an agent that works REO’s and/or short sales, you are going to have a steady stream of business for some time to come.  If you are not an agent working those markets, you may want to consider it.

Here are highlights from the report (all the data, unless noted otherwise is from July 31, 2009):

• There were 1,401,000 borrowers 60-plus days delinquent on their home mortgage in July 2009, this is a staggering 147 percent increase from a year ago when it was 566,000 borrowers.
  • This equates to 4.6 percent of Freddie Mac and Fannie Mae loans were 60 plus days delinquent.
• 6.76 percent of Freddie Mac and Fannie Mae loans were delinquent 30 days or more. Greater than 1 in 15 homeowners are delinquent on their mortgages. This has increased almost 20 percent since the beginning of the year when the rate was 5.68 percent.
• There were 5,492 short sales in July, up 23.6 percent from the month before and up a staggering 268 percent from a year ago. So far in 2009 there have been 25,251 short sales.

There were 23,369 foreclosures in July, which represents very little change from June’s 23,314 foreclosures. There were 85,342 new foreclosures started in July which is down over 30 percent from June’s 122,317 foreclosure starts.

I think the data here clearly shows the housing market is still a long way from recovering.  I don’t see how we can expect a “recovery” when we have such record numbers of people losing their home or at risk of losing their homes.

Tweet This Post

Related posts:

1. Short sales increase by 45 percent; no end in site Dennis Norman By: Dennis Norman In this challenging real estate...
2. Commercial and multi-family properties mortgage delinquencies on the rise Dennis Norman For the first year or so of...
3. Foreclosures and Short Sales Dominated the U.S. Housing Market in 2009 It’s not surprising, that according to Zip Realty foreclosures and...
4. Mortgage Delinquencies Jump Over 10 Percent Dennis NormanDeceleration in Rise of Mortgage Delinquencies Short Lived Back...

Related posts brought to you by Yet Another Related Posts Plugin.